Below is some data from Yahoo! Finance for Apple Inc on 11/5/2019. Assume that the market return is 7% and the risk free rate is 1.8%. a) What is the market risk premium? b) What is the cost of equity for Apple?
Below is some data from Yahoo! Finance for Apple Inc on 11/5/2019. Assume that the market return is 7% and the risk free rate is 1.8%. a) What is the market risk premium? b) What is the cost of equity for Apple?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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- Below is some data from Yahoo! Finance for Apple Inc on 11/5/2019. Assume that the market return is 7% and the risk free rate is 1.8%.
a) What is the market risk premium?
b) What is the

Transcribed Image Text:Here is a detailed transcription of the provided image about Apple Inc. (AAPL) stock data.
**Apple Inc. (AAPL)**
- NasdaqGS - NasdaqGS Real-Time Price. Currency in USD
**Current Data (as of 4:00 PM EST)**
- **Price:** 257.13 USD
- **Change:** -0.37 (-0.14%)
**Main Options:**
- Add to watchlist
- Buy
**Tabs Available:**
- Summary
- Company Outlook
- Chart
- Conversations
- Statistics
**Stock Information:**
- **Previous Close:** 257.50
- **Open:** 257.05
- **Bid:** 0.00 x 1100
- **Ask:** 0.00 x 1400
- **Day's Range:** 256.34 - 258.19
- **52 Week Range:** 142.00 - 258.19
- **Volume:** 19,941,484
- **Avg. Volume:** 27,307,465
**Market Data:**
- **Market Cap:** 1.162 Trillion USD
- **Beta (3Y Monthly):** 1.13
- **PE Ratio (TTM):** 21.63
- **EPS (TTM):** 11.89
**Dividends:**
- **Earnings Date:** Jan 27, 2020 - Jan 31, 2020
- **Forward Dividend & Yield:** 3.08 (1.24%)
- **Ex-Dividend Date:** 2019-08-09
**Estimates:**
- **1y Target Est:** 253.06
This information provides a comprehensive overview of Apple Inc.'s stock performance, including key financial metrics and historical data, facilitating informed investment decisions.
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